Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1887-09-21
home AFFAIRS.
MOST'S INCENDIARY TALK TO HIS
FOLLOWERS.
Charles Crocker Testifies = Money
Panic Feared-Justic Miller
Interviewed-Etc.
ESPECIAL DISPATCHES TO THE REcoRp-UNIoN.J
PATTIsoN's sIpE-sgow.
Charles Crocker Testifies for the Edifica-
ton Of the Commission.

ton of the Commission.
Copyright, 1887 by tie California Associated Pres.
New YORK, September 20th.-[Special. |
Charles Crocker testified this forenoon
before the United States Railroad Commits
sion that he had lived in California thirty.
seven years-frst in the mines. then at
Sacramento, and then at San Francisco.
He went over the history of the building of
the Central Pacific. He said that the
first contract was for eighteen miles of road
east of Sacramento. At that time he was
not Director of the road, but could not
remember if he had been before that or not.
He thought that the contract was adyer-
tised for and that he had put in a bid to
build it for $250,000 in cash, $4,000 of
stock and 100000 in bonds He tried to
get others interested in the work, but failed
to persuade anyone to share the risk He
was about year in building the eighteen
miles of road, and it was finished before
the law was passed giving Government aid.
Afterward other sections were advertised
for. He could only get a contract for two
miles OF the next letting, as there was a
hue and cry that he was favored con-
tractor, so that cut him off from fair com
petition.
He said that after the law of 1864 was
passed he became aware that the road
pletely wrapped up in the construction of
the road" he said, and was willing to do
anything to carry it on. took great risks
in the work, but / went on with it till
sunk all the money had and all | could
borrow. Then we got into financial diff
culties, ana time came when / should
have been glad to take clean shirt and
quit"
Witness could not recollect the terms of
the different contracts under which be
worked. Ralph Smith kept his books
while he worked on the State line section
of the road. Witness did not know what
had become of the books of Crocker & Co.,
contractors. suppose they are still
among the debris at Sacramento. never
knew that anyone had inquired for them,
or that they were wanted for any purpose,
| don't know where the books are. any
more than the man in the moon, and don't
think | have seen them since they were
closed in 1869. If anyone had asked me
where they were l should have told him it
was none of his business, unless it should
have been your honorable Board
As to the demand for the production of
these books, Crocker insisted that the Com
mission had no right to ask for them, still
if he could find them when he reached
California he would send the books on, if
SO advised by counsel for the company.
Witness was questioned about the organ
ization of the Finance Company, and said
the company was organized to unite the
capital and debts of the larger stockholders
and thus retain control of the road. - At
that time we were greatly in debt, and it
looked at one time as If | would have to 90
to the wall, but when the road was finally
finished everybody was reioiced, and the
people didn't care a continental whether
owned a million or ten millions. There
was chance then for us TO pay"
Suits were brought, witness continued,
to recover money claimed TO have been
unjustly obtained by witness and Stanford.
These were blackmailing suits, pure and
simple, and were settled to avoid scandal
and the depreciation of the bonds. When
went into the building of the road was
rich, but when l got through with the
work | had no money"
What do you mean by being rich at the
! commencement of your railroad work p
a mean that l had good business,
plenty of money-say 5000 000-and was
| happy and prosperous. All that was
changed when l went into the railroad. 1t
was always turmoil and trouble aud
anxiety"
Witness thought the money question at
| issue could be settled best by conference
| uelWeeu COHlnlllee IfOIu tHS DOdru OF
| Directors and this Commission.
Mr.. Littler ssked what was the ability of
the company to pay its debt to the Govern
ment to-day, and received None, what
ever, as an emphatic answer.
| Mr.. Crocker said the company intended
TO pay some day, but 10 do il at present
would ruin the property. Il would sug-
gest," remarked Mr.Crocker, 'that the Gov
ernment, to which the money is just now
no object, might give the road, say 1OC
years in which to pay lis debt" Later lie
said that if the Government had given the
Central Pacific the contracts promised the
company would have nearly paid its debts
| by this time. " Politics" insisted the wit
ness. are at the root of all this trouble
and when the road is out of politics it will
prosper
In reply TO another question witness
said there was never penny in stocks
bonds or money offered to any legislator tc
secure corrupt influence. The Government
had saved some $139, ,60O,0 GOO by the road
| yet would not give it enough patronage tC
| enable it to pay its debt, which could easily
have been done. The company had faith.
fully fulfilled all its contracts, and ht
| (Crocker) had asked the Board of Director:
to introduce bill into Congress claiming
payment in compensation for untitled con.
tracts made with the company by the GOV
! ar-pD,ont but r,avar fI1ltilla1